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83-083 - 09-20 Sale $2,000,000 Storm Sewer Improvement Bond 1983Resolution 83-83 September 20, 1983 Menber Johnson introduced the following resolution and moved its adoption: RESOLUTION RELATING TO $2,000,000 GENERAL OBLIGATION STORM SEWER IMPROVEMENT BOND OF 1983; CALLING FOR THE PUBLIC SALE THEREOF BE IT RESOLVED by the City Council of the City of Golden Valley, Minnesota as follows: 1. Authorization. The Council has heretofore created a Storm Sewer Improvement District for the City of Golden Valley - 1979 (the District) and has adopted a capital improvement program (the Program) and established a Storm Sewer Reserve Fund (the Fund) for the District, all pursuant to Minnesota Statutes, Section 444.17 to 444.21 and Laws 19791, Chapter 303, Article X. In order to finance the costs of the Program, it is hereby determined to be necessary and desirable for the City to issue its General Obligation Storm Sewer Improvement Bonds in the aggregate principal amount of $2,000,000 (the Bonds); $25,000 of such amount representing interest as provided in Minnesota Statutes, Section 475.56. 2. Sale. This Council shall meet at the time and place specified in the notice of sale hereinafter prescribed for the purpose of receiving sealed bids and awarding sale of the Bonds. The City Clerk is hereby authorized and directed to cause notice of the time, place and purpose of the meeting to be published in The Golden Valley Post, the official newspaper of the City, and in Conmercial West, published in Minneapolis, Minnesota, once not less than ten days before the date of said meeting in substantially the following form: NOTICE OF BOND SALE $2,000,000 GENERAL OBLIGATION STORM SEWER IMPROVEMENT BONDS OF 1983 CITY OF GOLDEN VALLEY, MINNESOTA NOTICE IS HEREBY GIVEN that sealed bids for the purchase of $2,000,000 General Obligation Storm Sewer Improvement Bonds of 1983, of the City of Golden Valley, Minnesota, will be received at the office of the City Clerk, 7800 Golden Valley Road, until 11:00 o'clock All, Tuesday, November 15, 1983, at which time the bids will be opened and tabulated. The City Council will meet at the City Hall in the City at 7:30 o'clock PM that same date to consider the bids and award the sale of the Bonds. The Bonds will be issued for the purpose of financing the cost of a capital improvement program within a storm sewer improvement district within the City. The Bonds will be in the denomination of $5,000 or multiples thereof, will be dated December 1, 1983, and will mature serially on February 1 in the following years and amounts: Year Amount Year Amount 1986 $50,000 1995 $110,000 1987 60,000 1996 110,000 1988 65,000 1997 120,000 1989 75,000 1998 130,000 1990 75,000 1999 140,000 1991 80,000 2000 150,000 1992 85,000 2001 175,000 1993 95,000 2002 180,000 1994 100,000 2003 200,000 Resolution 83-83 - Continued September 20, 1983 Interest will be payable on August 1, 1984, and semiannually on each February and August thereafter. No rate of interest nor the net effective rate of the issue may exceed the maximum then permitted by law. All bonds maturing in 1994 and thereafter are subject to redemption and prepayment at the option of the City and in whole or in part, in inverse order of maturities and by lot within maturities, on February 1, 1993 and any interest payment date thereafter, at a price equal to the principal amount thereof to be redeemed plus interest accrued to the date of redemption. A legal opinion will be furnished by Dorsey & Whitney, of Minneapolis, Minnesota. Copies of a statement of Terms and Conditions of Sale and additional information may be obtained from the undersigned or from Public Financial Systems, Inc., 63 South 9th Street, Suite 402, Minneapolis, Minnesota 55402; telephone: 612-333-9177, financial consultants to the City. Dated: September 1983 BY ORDER OF THE CITY COUNCIL John Murphy City Clerk City of Golden Valley, Minnesota 3. Terms and Conditions of Sale. The following statement of Terms and Conditions of Sale shall constitute the terms and conditions for the sale and issuance of the Bonds and such terms and conditions are hereby authorized to be incorporated in material distributed to prospective bidders for the Bonds: TERNS AND CONDITIONS OF SALE $2,000,000 GENERAL OBLIGATION STORM SEWER BONDS OF 1983 CITY OF GOLDEN VALLEY, MINNESOTA Sealed bids for the purchase of $2,000,000 General Obligation Storm Sewer Improvement Bonds of 1983, of the City of Golden Valley, Minnesota, will be received at the office of the City Clerk, 7800 Golden Valley Road, until 11:00 o'clock AH, on Tuesday, November 15, 1983, at which time the bids will be opened and tabulated. The City Council will meet at the Civic Center in the City at 7:30 o'clock PM the same day to consider the bids and award the sale of the Bonds. PURPOSE The Bonds will be issued for the purpose of financing the cost of a capital improvement program in a storm sewer improvement district within the City, in accordance with the provisions of Minnesota Statutes, Chapter 475, and Sections 444.17 through 444.21. DATE, TYPE AND DENOMINATION The Bonds will be dated December 1, 1983. The Bonds will be issuable only as fully registered Bonds in denominations of $5,000 or any multiple thereof, of single maturities, with interest payable by check or draft to the person in whose name each Bond is registered 15 days prior to each interest payment date on the register maintained by the Bond Registrar which will be a suitable bank or trust company selected by the City. Principal is payable upon surrender of each Bond at maturity or upon prior redemption at the office of the Registrar. The City will pay the charges of the Registrar with respect to registration of ownership, transfer and exchange and payment of principal and interest. Resolution 83-83 - Continued September 20, 1983 MATURITIES AND REDEMPTION The Bonds will mature serially on February 1 in the following years and amounts: Year Amount Year 1995 Amount $110,000 1986 1987 $50,000 60,000 1996 110,000 1988 65,000 1997 120,000 1989 75,000 1998 130,000 1990 75,000 1999 140,000 1991 80,000 2000 150,000 1992 85,000 2001 175,000 1993 95,000 2002 180,000 1994 100,000 2003 200,000 All bonds maturing in 1994 and thereafter are subject to redemption and prepayment at the option of the City and in whole or in part, in inverse order of maturities and by lot within a maturity, on February 1, 1993 and any interest payment date thereafter, at a price equal to the principal amount thereof to be redeemed plus interest accrued to the date of redemption. INTEREST PAYMENT DATES, RATES Interest will be payable on August 1, 1984, and semiannually thereafter on each February 1 and August 1. All Bonds of the same maturity must bear interest from date of issue until paid at a single, uniform rate, not exceeding the rate specified for Bonds of any subsequent maturity. Each rate must be in an integral multiple of 5/100 of 1%, and no rate of interest nor the net effective rate of the issue may exceed the maximum then permitted by law. DELIVERY Within 40 days after sale and without cost to the purchaser the City will furnish and deliver at the office of the purchaser or, at its option, will deposit with a bank in the United States selected by it and approved by the City as its agent to permit examination by and to deliver to the purchaser, the printed and executed Bonds, the option of bond counsel and a certificate stating that no litigation in any manner questioning their validity is then threatened or pending. All costs, with the exception of the printing of CUSIP numbers as indicated, will be paid by the City. The purchase price must be paid upon delivery of the Bonds, in funds available for expenditure by the City on the date of payment. LEGAL OPINION An opinion as to the validity of the Bonds and as to the exemption of the Bonds and the interest thereon from taxation will be furnished by Dorsey & Whitney, of Minneapolis, Minnesota. The legal opinion will be printed on the Bonds at the request of the purchaser. The legal opinion will state that the Bonds are valid and binding general obligations of the City enforceable in accordance with their terms, except to the extent enforceability may be limited by State of Minnesota or United States laws relating to bankruptcy, reorganization, moratorium or creditors' rights generally. Resolution 83-83 - Continued TYPE OF BID AND AWARD September 20, 1983 Sealed bids for not less than $1,975,000 and accrued interest on the principal sum of $2,000,000 must be mailed or delivered to the undersigned and must be received prior to the time stated above. Bidders must bid for all or none of the Bonds. Each bid must be unconditional and must be accompanied by a cashier's check or certified check or bank draft in the amount of $40,000, payable to the City Clerk to be retained by the City as liquidated damages if the bid is accepted and the bidder fails to comply therewith. The bid authorizing the lowest net interest cost, (total interest on all Bonds from date thereof to their maturities, less any amount more than $2,000,000 or plus any amount less than $2,000,000 bid for principal) will be deemed the most favorable. The net effective rate on all Bonds may not exceed the maximum then permitted by law. In the event that two or more bids state the lowest net interest cost, the sale of the Bonds will be awarded by lot. The City reserves the right to reject any and all bids, to waive informalities in any bid, and to adjourn the sale. CUSIP NUMBERS The City will assume no obligation for the assignment or printing of CUSIP numbers on the Bonds or for the correctness of any numbers printed thereon, but will permit such numbers to be assigned and printed at the expense of the purchaser, if the purchaser waives any extension of the time of delivery caused thereby. Information for bidders and bidding forms may be obtained from the undersigned or from Public Financial Systems, Inc., 63 South 9th Street, Suite 402, Minneapolis, Minnesota 55402; telephone: 612-333-9177, financial consultants to the City. Dated: September 20, 1983 BY ORDER OF THE CITY COUNCIL John Murphy City Clerk City of Golden Valley, Minnesota 4. Official Statement. The City Clerk, in cooperation with Public Financial Systems, Inc., financial consultants to the City, is hereby authorized and directed to prepare on behalf of the City an official statement to be distributed to potential purchasers of the Bonds. Such official statement shall contain the statement of Terms and Conditions of Sale set forth in paragraph 3 hereof and such other information as shall be deemed advisable and necessary to adequately describe the City and the security for, and terms and conditions of, the Bonds. Rosema y Thorsen, _May r Resolution 83-83 - Continued September 20, 1983 The motion for the adoption of the foregoing resolution was seconded by Member Mitchell and upon a vote being taken thereon, the following voted in favor thereof: Anderson, Johnson, Mitchell, Stockman and Thorsen, and the following voted against the same: none, whereupon said resolution was declared duly passed and adopted, signed by the Mayor and her signature attested by the City Clerk.